What the Concord Credit Card Is
The Concord Credit Card is a secured credit card designed for people who are rebuilding credit or have limited credit history. You put down a cash deposit, and that deposit becomes your credit limit. The card issuer reports your payment activity to the three major credit bureaus — Equifax, Experian, and TransUnion — so on-time payments help raise your credit score over time.
Unlike a prepaid card, a secured card is a real credit product. You borrow against your deposit each month, make payments, and build a payment history. After you demonstrate responsible use — typically 6 to 18 months of on-time payments — the issuer may convert your account to an unsecured card and return your deposit.
Secured cards charge annual fees and interest rates that are higher than cards for people with established credit. The trade-off is that they accept applicants the traditional card market turns down.
Key Takeaways
- Your cash deposit becomes your credit limit, so a $500 deposit gives you a $500 limit.
- The card reports to all three credit bureaus, meaning your payment history affects your credit score.
- Annual fees and interest rates are higher than unsecured cards, so compare the cost against other secured options before you open an account.
- After 6 to 18 months of on-time payments, you may be able to convert to an unsecured card and recover your deposit.
- You need a valid Social Security number and a U.S. bank account to open the card.
Deposit Requirements and Credit Limits
The Concord Card requires a minimum deposit of $200. Your deposit amount becomes your credit limit — if you deposit $500, your limit is $500. You can deposit more to raise your limit, up to a maximum that varies by the issuer. The deposit sits in a savings account held by the card issuer and earns interest, though the rate is typically very low.
Your deposit is separate from your monthly bill. When you use the card and carry a balance, you owe interest on that balance. Your deposit stays in place and is not touched unless you close the account or fail to pay your bill. If you stop paying, the issuer may use your deposit to cover what you owe.
Fees and Interest Rates
Concord charges an annual fee, which varies depending on your deposit amount and the specific card product. The fee is typically between $25 and $99 per year. Some versions of the card waive the annual fee for the first year if you meet certain conditions, such as setting up automatic payments.
The interest rate (called the APR, or annual percentage rate) is usually between 18% and 24%, depending on your creditworthiness at the time you open the account. This is significantly higher than unsecured cards for people with good credit, which often carry rates between 12% and 18%. If you carry a balance month to month, interest charges add up quickly.
To minimize cost, pay your full balance each month. This way you avoid interest charges entirely and only pay the annual fee. Even if you cannot pay the full balance, paying more than the minimum each month reduces the total interest you pay.
How to Open a Concord Credit Card Account
You can open an account online through the card issuer's website or by phone. You will need a valid Social Security number, a current mailing address, and a U.S. bank account for the deposit to be transferred from. The process takes about 10 to 15 minutes.
The issuer will ask for your income, employment status, and whether you have any other credit accounts. They perform a hard inquiry on your credit report, which temporarily lowers your credit score by a few points. If you are turned down, you can ask why — sometimes it is because of a mistake on your credit report that you can dispute.
Once your process is approved, you transfer your deposit to the issuer's designated savings account. This usually takes 1 to 3 business days. Your card is mailed to you and typically arrives within 7 to 10 business days. You can begin using the card as soon as it arrives.
Building Credit and Converting to an Unsecured Card
The main reason to use a secured card is to build credit history. Every payment you make — whether on time or late — is reported to the credit bureaus. On-time payments raise your score; late payments damage it. After 6 to 18 months of consistent, on-time payments, the issuer reviews your account and may offer to convert it to an unsecured card.
When conversion happens, your deposit is returned to you, usually within 5 to 7 business days. Your credit limit may stay the same or increase. The annual fee may change, and your interest rate may improve if your credit score has risen. You do not have to do anything to trigger the review — the issuer monitors your account automatically.
If the issuer does not offer conversion after 18 months, you can contact them and ask. Some issuers are more willing to convert than others. If conversion is denied, you have the option to close the account and move to a different card, though closing an account can temporarily lower your score.
Comparing Secured Cards
Several issuers offer secured credit cards, and the terms vary. Before opening a Concord account, compare it against other options like the Capital One Secured Mastercard, the Discover Secured Card, and the OpenSky Secured Visa. The differences that matter most are the annual fee, the interest rate, the minimum deposit, and how quickly the issuer converts accounts to unsecured.
Some secured cards offer rewards — for example, 1% cash back on all purchases — while others offer no rewards. If you plan to carry a balance, rewards are less valuable because interest charges will exceed any cash back you earn. If you pay in full each month, even a small rewards rate adds value over time.
Check whether the issuer reports to all three credit bureaus. Most do, but a few report to only one or two, which means your credit-building progress is slower. Look for this information on the issuer's website or call customer service to confirm.
Using Your Card Responsibly
To build credit as quickly as possible, use your card for small purchases you would make anyway — groceries, gas, a monthly subscription — and pay the full balance each month. This shows lenders that you can borrow and repay reliably. Aim to keep your balance below 30% of your credit limit; for example, if your limit is $500, try not to carry a balance above $150 at any time.
Set up automatic payments for at least the minimum amount due. This removes the risk of forgetting a payment, which would damage your credit score and trigger late fees. If you can pay the full balance automatically, even better.
Do not close the account once you convert to an unsecured card, even if you stop using it. Keeping the account open helps your credit score because it increases your total available credit and shows a long payment history. You can straightforward stop using the card and let it sit in a drawer.
Frequently Asked Questions
Can I use a secured card if I have no credit history?
Yes. Secured cards are designed for people with no credit history, recent negative marks, or low credit scores. The deposit removes the risk for the issuer, so they are willing to approve applicants that unsecured card issuers would reject. You do need a Social Security number and a bank account.
What happens if I miss a payment?
A missed payment is reported to the credit bureaus and damages your score. You will also owe a late fee, typically $25 to $35. If you miss a payment by more than 30 days, the issuer may freeze your account or close it. If you are unable to pay, contact the issuer when ready — some will work with you on a payment plan.
Can I increase my credit limit without adding more money?
After several months of on-time payments, some issuers will increase your limit without requiring an additional deposit. This is not may provide and depends on the issuer's policy and your payment history. You can call and ask, but the issuer is under no obligation to grant an increase.
How long does it take to rebuild my credit with a secured card?
Credit scores move slowly. You may see improvement within 3 to 6 months of on-time payments, but significant improvement usually takes 12 to 24 months. The longer your payment history, the more weight it carries. Other factors — such as how much debt you owe and how old your accounts are — also affect your score.
What is the difference between a secured card and a prepaid card?
A secured card is a credit product that reports to credit bureaus and helps you build credit. A prepaid card is not a credit product — you load money onto it and spend that money, but no credit is extended and no payment history is reported. Prepaid cards do not help you build credit.